AUST. INTERIM REPORTS Rothmans Raises Div. As Profit Doubles

Press, Volume CVIII, Issue 31598, 8 February 1968, Page 15

AUST. INTERIM REPORTS Rothmans Raises Div. As Profit Doubles

(N.Z. Preet A««oclotlon—Copyright) SYDNEY, February 7. Rothmans of Pall Mall (Australia), Ltd, more than doubled net profit in the December half-year and has raised the interim dividend. Pre-tax profit rose from $1.02m to $2.27m.

Provision for depreciation was $861,502, a rise of $105,621.

Interim dividend is lifted from 6 per cent to 7 per cent. It requires $637,875. The company’s established brands have retained their

position in the market and an increase in total sales was achieved over the corresponding period of the previous year, directors say. Humes Humes, Ltd, Australia’s biggest concrete and steel pipe group, expects group profit for the six months to December 31 to be steady.

Some increase in turnover will be shown, directors say in an interim report. Results are not yet complete, and should be available in a month.

Interim ordinary dividend has been maintained at 6| per cent This is in line with the 12$ per cent rate paid for the last three years. The company has eeased its previous practice of declaring part of its dividends payable from dividends received from its overseas subsidiaries. Directors say that because of recent amendments to the Taxation Act, withholding tax is now the final assessment on dividend paid to overseas shareholders. Before the recent amendment, this practice was of some benefit to overseas shareholders, but this is not so now. The interim dividend will be paid on March 29. David Syme David Syme and Company, Ltd, the publisher of the "Age” newspaper, earned a steady profit in the December half-year and is holding interim ordinary dividend at 6 per cent on higher capital, directors report. They say revenue for the 26 weeks to December 30 was up 7 per cent on the previous corresponding period. This and savings in several areas were absorbed by development expenses and increased general costs, resulting in a steady profit. This will be the first interim dividend paid by the company on Im shares issued in December, 1966, to John Fairfax and Sons, Ltd, Sydney. The Fairfax parcel received the final 6 per cent ordinary dividend for 1966-67, which gave an unchanged total of 12 per cent for that year, but did not rank for the earlier interim payout. A.R.C. A.R.C. Industries, Ltd, the reinforced concrete group, earned lower profit in the December half-year than in the same period last year, although increased turnover

was maintained, directors report. The interim dividend is steady at 4 per cent and is well-covered.

The high incidence in deliveries of low-priced orders taken in the previous financial year are having an effect on profit, they say. Trading for the six month, although profitable, was not as successful as for the similar period last year, they add. In spite of the drought, directors hope that if good autumn rains fall in southeastern Australia, profits for the full year will be about the same as for 1966-67.